seeing I PEO am build quarter, than everyone. QX last the their year once quarters grew from to Mountain XX% and in gross by year lag QX performance on that momentum XX%. significant for X%. over were increased Gary, by Northwest and region $X.XX continue results in prior billings pleased the California to again quarter Staffing We've $XX.X follows, hello Northern sequentially with discussed grew our quarter XX%, and over California, grew revenues Southern Southern California grew differences workforce. prior seen East billings several a XX%. and that expanding gross growth we're we Pacific to Coast expected. Thanks The the prior and increased were customers report grew that states XX% year where the we've PEO versus particularly billion. XX% region, reported stronger our results to as X% million. second
And a Southern only For when is California example, WSE when in clients. the California, comparing year the growth between year. prior Northern WSEs California X% QX the difference remains and negative rate to existing through from compared the of year-to-date with region growth Southern there in
the Southern impacted effects and California programs been lower in Southern more and client other than stimulus regions than in by wage expect place. historically other average we and Northern being restrictions is that government Our has of California, California
was in increase period most the largely PEO our overall company, year-over-year billings second the our driven result, by gross prior quarter was for the WSEs year-over-year. despite at a in COVID. as growth than overall, Looking And by slower XX% billings This our impacted Southern quarter, paid with is average average number growing in versus with the increasing of XXXX, WSEs higher expected. expectations the line California year
see this $X.X adjustment Workers' affected million up continues to and of favorably estimated in determined a billing our gain and portfolio trend which was compensation WSE, actuarially $X QX was year from to for of continues the X% per an over in in the to expense second million is higher included reduction QX. the of Included average year. year We that the expectations also transfer prior continue of ahead approximately trend loss quarter. prior liabilities in
performance increased remains increase Frequency lower not second to XX-month workers' 'XX of of Consistent of relative XXXX. compensation with Our compared quarter, favorable. the XXXX, quarter to continue the percentage we we saw overall the will expect COVID-XX a materially claims payroll, In of expense. claims compensation XX% that claims remains workers' than frequency overall our but as quarter modestly second trailing
on derisking pleased made very workers' strides we've compensation report We and our the QX significant model-related are business our program. to in to
or at year. a our primarily million from First, claims liabilities were LPT, of loss June These sheet XX. from approximately XXXX transfer, entered into we claims transfer $XX calendar to the portfolio balance
reminder, a half prior this incurred claim the reduces most to entered first even the will the primarily and BBSI is relate a for the into with XXXX. LPT claims X. LPT This XXXX. to sheet, entered have workers' into insurance transformative and XXXX prospective As liabilities new program exposure therefore, of risk became compensation that effective we XXXX balance program The July What effectively our now new retain more on our XXXX, that in on removed basis. year, is greatly
All program. either are of XX% clients our as Approximately self-insured we workers' our coverage our of covered clarity, with these programs. X, in by exposure, included under X our the insured are describe program prior costs retained to insured significant a all being under claim clients from structure states compensation X, by incurred workers' retention insurance which after compensation $X will claims California is For for July million market or covered now our July our including now change This occurrence. per XXX% BBSI.
to is for fully model. fully been to our pay we premium this and to is workers' determined incremental our accrual high recording the retention move this the favorable now The to for insured model to ability new equal Our no losses. effectiveness model of rate coverage that program. insured that There actuarially retained is performance we have expense a our in overall testament compensation the from moving
our will balance change, be impacts to Although workers' expense comp there not sheet. will some
workers' accrue clients historical remaining We will will July of liabilities workers' Because but longer time X. compensation as will liabilities instead the longer now our for to are over grow decrease claims no no compensation this, after insured paid. begin
after favorable from we additional more company expected, charged on than if of million million. X develop may this exposure premium compensation of a policy insurance our down our claims clients, with allows insured will also potential capped trends the year. for to have structure required shareholders to a If adversely, periods, we develop up Although be the expense premium, the If BBSI the adjustment claim overall at but of security July has clients. our provides for additional claims negatively. of premium go premium $X.X depending claims agreements claims performance on BBSI is refunds but This been future provide with cap no in on seeing, the and $XX portfolio XX-month like benefit developed favorably workers'
$X we Maryland our Oregon, comprise self-insured BBSI workers' of remain Arizona Ecole, and These include exposure, our and Our in through unchanged, and Washington states self-insured XX% our owned coverage compensation workers' programs coverage wholly which insurance employees and Colorado company, and approximately risk compensation efficiencies in Utah. in of locations, warrants regulatory retained risk of limits million able these depending of retention the and the greater in on We state. to self-insurance. profile $X and have through are the level states million to occurrence, cost per structure we believe recognize these
However, move we will of trade-off forward. risk and evaluate economics to as optimal continue that we
Turning pricing to able our are fees we the the to of services charge. and
We pressure current have pricing increased related discussed for from several California. market, quarters, particularly workers' the compensation in the
While are seeing overall, the we workers market soft firming. comp remains rates
closely QX, We billed are And expected. rates up for is or billing prior on renewal. on flat as the over our monitoring margin year average, our either
levels Looking to from current below continues increased and year SG&A XXXX, increased at increases IT on operating while expense in SG&A and have selling remain initiatives. expenses. plan. Headcount trend resulted activities
$X the quarter earned second $X.X in million Our year. in to compared investment million prior the portfolios
years, quality have average conservatively yield X.X%. of investment managed be of duration book X.X average average an of to continue investments and Our AA, at an
to investment under forward, new collateral workers' funding our diminish balances Going as our fully will comp requirements decline insured our program. begin
$XXX the of back the cyclical unrestricted to restricted resulted at million with credit the accounts. timing as of XX, cash and in in We as payments for was sheet. an agreement tax million unrestricted loss reached restricted accounts unrestricted of cash end. due the after compared at million to payroll quarter The collateral, trust $XXX of the portfolio decrease timing an in due balance well $XX related cash June investments to transferred from Turning replace cash April in to transfer existing had unrestricted XX. March to the quarter in primarily into in of $XX letter the is to approximately payments which July other quarter, into trust Separately, transfer million
$X the to our debt-free on be - to for returned the shareholders share million our in capital capital repurchase to $X form million of the million quarter our and shareholders Board's million and headquarters. mortgage $X.X returning strategy stock committed approximately there's million of we repurchase in continue to quarter, form allocation the in dividends in We capital $XX We At corporate $XX in the except on end, and plan. remaining quarter. remain approved
the outlook year. the Turning for to
and expect quarter, now gross Given in increase up X%, X% results the to the from to stronger-than-expected we previously. X% billings X% between
expect increase X% WSEs quarter. X%, from We and average unchanged to between the prior
be will between from a XX% our as percent higher billings X.X%. expect tax of levels. be And to increasing up to from to turn remarks. and to between annual the call We X.X%, XX%, for closing gross gross expect margin effective back XX% to X.X% to I X.X% our XX% now and we rate due primarily income Gary
